Products

PENTEQ, in keeping with its RISK-Averse Philosophy, specializes in Low-Beta, Style Diversified and Hedged Portfolios:

Long/Short Market-Neutral

Our basic Institutional alternative to fixed income or for an interest income reinvestment vehicle. We financially engineer a product so that it looks like a T-Bond in terms of its risk or volatility profile but has the liquidity of a T-Bill and a fairly consistent return stream that has averaged over 14% per year net of commissions and fees (but not performance bonus—see pricing).

Long/Short Pairs-Trading

A product with somewhat limited liquidity (at present) but designed to showcase our 3-Dimensional Matrix stock selection and portfolio management capability for a prospective institutional investor while producing significant ‘excess’ returns with substantially lower than stock market risk or volatility.

Long/Short Enhanced-Index

A product designed to take advantage of our ability to develop consistent spreads between our long and short positions with 85% of our portfolio assets and then capture the return of an Index like the SP-500 or R-2000 by virtue of acquiring a future on that index. Our return will then equal the return to the Index future (Index minus dividends) plus a spread of 600 to 800 Basis Points.

Long/Short Portable-Alpha

A product designed along the lines of our Enhanced Index product but using any commodity index or any LEAP, and with the same return characteristics of Future or LEAP plus 600-800 Basis Point spread.

Long/Short Pairs-Hedging

Essentially a Market-Neutral product that is adjusted to client requirements within a context of client needs for specific style bias components, industry group or economic sector exposure.

Long/Short Enhanced-TAA

A product designed to utilize all of our intellectual property in a Tactical Cash Management package where the portfolio is Market-Neutral or Enhanced-Index, depending on the output from our Market Risk Analysis Model, to outperform T-Bills, when the MRAM would have us out of the market, and outperform a SP-500 Index when the MRAM would have us in the market.